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New Holland acquisition of Case-IH
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Posted by Cory on May 19, 1999 at 12:20:36:
From what I understand, the acquisition of Case-IH by New Holland is nearly complete, pending approval by Congress to ensure the formation of the new company will not violate U.S. antitrust laws. I don't see this being a problem since the two companies combined would still be slightly smaller than Deere & Co. although this may soon change. This is huge news in the farm equipment industry, especially for those of us who were shocked to hear that Case-IH was the one sold. The merging of the two lines brings to light some very interesting questions. Will both the Genesis and Magnum still be produced? It wouldn't make sense to phase out the new Magnum which was a major redesign project for Case-IH, and they seem to have done an excellent job, except for the fact that it too closely follows the mistakes made by Deere in their 8000 series tractors. Don't think I'm trying to elicit nasty responses from you JD diehards out there; I'm merely stating what many of us in the industry see from the standpoint of serviceability, performance, ruggedness, and operation. It may make more sense to phase out the Genesis tractor, if one is to be eliminated. However, the Genesis was such a revolutionary machine that, despite its relative age to its competitors, it still has a competitive edge over new models produced by Deere, Case, and AGCO. Speaking of AGCO, what is to become of them? Here's a company whose products go greatly unappreciated by those of use who are too colorblind to recognize quality and innovation anymore. After all, AGCO recently released a new line of large tractors that are truly impressive when you put them next to a Deere or Magnum with the price tags on them. With Caterpillar still looking to enter the ag. equipment industry in a big way, don't be surprised if AGCO joins Cat. Of course, this is only speculation, but with Cat's excellent marketing and distribution behind AGCO products, Deere truly would have something to worry about. Back to the New Holland-CaseIH merging, I believe parts support and customer service will only improve, as will the new products developed by these companies. Despite Deere & Co.'s response to New Holland's acquisition of Case IH as posted on the Deere site, you know they have to be just a bit concerned when a domestic powerhouse like Case-IH and a worldwide presence like New Holland combine forces.
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